| 17 Determination and hierarchy of fair values | ||||
| A large majority of Sampo Group's financial assets are valued at fair value. The valuation is based on either published price quatations or valuation techniques based on market observable inputs, where available. For a limited amount of assets the value needs to be determined using other techniques. The financial instruments measured at fair value have been classified into three hierarchy levels in the notes, depending on e.g. if the market for the instrument is active, or if the inputs used in the valuation technique are observable. | ||||
| On level 1, the measurement of the instrument is based on quoted prices in active markets for identical assets or liabilities. | ||||
| On level 2, inputs for the measurement of the instrument include also other than quoted prices observable for the asset or liability, either directly or indirectly by using valuation techniques. | ||||
| EURm | Level 1 | Level 2 | Level 3 | Total |
| FINANCIAL ASSETS 31.12.2014 | ||||
| Derivative financial instruments | ||||
| Interest rate swaps | - | 24 | - | 24 |
| Foreign exchange derivatives | - | 46 | - | 46 |
| Equity derivatives | - | 10 | - | 10 |
| - | 79 | - | 79 | |
| Financial assets designated at fair value through profit or loss | ||||
| Equity securities | 2 | - | - | 2 |
| Debt securities | 19 | 27 | - | 47 |
| 21 | 27 | - | 48 | |
| Financial assets related to unit-linked insurance | ||||
| Equity securities | 449 | 8 | 16 | 472 |
| Debt securities | 543 | 645 | 24 | 1,212 |
| Derivative financial instruments | 2,464 | 896 | 57 | 3,417 |
| Mutual funds | - | 9 | - | 9 |
| 3,456 | 1,558 | 96 | 5,110 | |
| Financial assets available-for-sale | ||||
| Equity securities | 1,658 | - | 228 | 1,887 |
| Debt securities | 8,086 | 4,037 | 77 | 12,200 |
| Mutual funds | 1,595 | 106 | 748 | 2,450 |
| 11,340 | 4,143 | 1,054 | 16,537 | |
| Total financial assests measured at fair value | 14,817 | 5,808 | 1,150 | 21,775 |
| FINANCIAL LIABILITIES 31.12.2014 | ||||
| Derivative financial instruments | ||||
| Interest rate derivatives | 2 | 21 | - | 23 |
| Foreign exchange derivatives | - | 87 | - | 87 |
| Equity derivatives | - | 11 | - | 11 |
| Total financial liabilities measured at fair value | 2 | 118 | - | 120 |
| EURm | Level 1 | Level 2 | Level 3 | Total |
| FINANCIAL ASSETS 31.12.2013 | ||||
| Derivative financial instruments | ||||
| Interest rate swaps | 1 | 51 | - | 52 |
| Other interest rate derivatives | - | 0 | - | 0 |
| Foreign exchange derivatives | - | 12 | - | 12 |
| Equity derivatives | - | 14 | - | 14 |
| 1 | 77 | - | 78 | |
| Financial assets designated at fair value through profit or loss | ||||
| Equity securities | 2 | - | - | 2 |
| Debt securities | - | 46 | 0 | 46 |
| 2 | 46 | 0 | 48 | |
| Financial assets related to unit-linked insurance | ||||
| Equity securities | 324 | 2 | 13 | 339 |
| Debt securities | 14 | 1,069 | 19 | 1,101 |
| Derivative financial instruments | 2,098 | 804 | 64 | 2,966 |
| Mutual funds | - | 26 | - | 26 |
| 2,436 | 1,901 | 97 | 4,433 | |
| Financial assets available-for-sale | ||||
| Equity securities | 1,583 | - | 243 | 1,826 |
| Debt securities | 1,874 | 10,858 | 39 | 12,770 |
| Mutual funds | 993 | 124 | 720 | 1,836 |
| 4,449 | 10,981 | 1,002 | 16,432 | |
| Total financial assests measured at fair value | 6,887 | 13,006 | 1,099 | 20,992 |
| FINANCIAL LIABILITIES 31.12.2013 | ||||
| Derivative financial instruments | ||||
| Interest rate derivatives | 1 | 14 | - | 15 |
| Foreign exchange derivatives | - | 22 | - | 22 |
| Equity derivatives | - | 16 | - | 16 |
| Total financial liabilities measured at fair value | - | 52 | - | 53 |
| Transfers betweel levels 1 and 2 | ||||
| During the last quarter, the Group started to utilise the BVAL Score information for level determination. As a result, there were several classification changes from level 2 to level 1. Debt securities available-for-sale EURm 5,438 (151) were transferred during the financial year. Also debt securities at fair value through p/l EURm 19 were transferred. Equity securities EURm 68 and debt securities EURm 368, related to unit-linked insurance, were equivalently transferred to level one. | ||||
| Sensitivity analysis of fair values | ||||
| The sensitivity of financial assets and liabilites to changes in exchange rates is assessed on business area level due to differenct base currencies. In P&C insurance, 10 percentage point depreciation of all other currencies against SEK would result in an increase recognised in profit/loss of EURm 30 (12) and in a decrease recognised directly in equity of EURm 13 (11). In Life insurance, 10 percentage point depreciation of all other currencies against EUR would result in an increase recognised in profit/loss of EURm 35 (14) and in a decrease recognised directly in equity of EURm 94 (68). In Holding, 10 percentage point depreciation of all other currencies against EUR would have no impact in profit/loss, but a decrease recognised in equity of EURm 71 (15). | ||||
| The sensitivity analysis of the Group's fair values of financial assets and liabilities in differenct market risk scenarios is presented below. The effects represent the instantaneous effects of a one-off change in the underlying market variable on the fair values on 31 Dec. 2014. | ||||
| The sensitivity analysis includes the effects of derivative positions. All sensitivities are calculated before taxes. | ||||
| The debt issued by Sampo plc is not included. | ||||
| Interest rate | Equity | Other financial investments | ||
| 1% parallel shift down | 1% parallel shift up | 20% fall in prices | 20% fall in prices | |
| Effect recognised in profit/loss | -78 | 50 | -0 | -4 |
| Effect recognised directly in equity | 186 | -179 | -625 | -196 |
| Total effect | 108 | -130 | -625 | -200 |
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